Economists usually use the term "recession" to refer to
A)any slowdown in the growth of real GDP.
B)zero real GDP growth.
C)two or more consecutive quarters of declining real GDP.
D)a reduction in nominal GDP lasting more than six months.

Question

Quizplus · Accepted Answer

Economists define a recession as a significant decline in economic activity, measured by a contraction in real GDP that lasts for more than a few months. Specifically, a recession is commonly defined as two or more consecutive quarters of declining real GDP. Option A is too broad and Option B is too zero-focused. Option D is incorrect because it mentions nominal GDP rather than real GDP.

Economists Usually Use the Term "Recession" to Refer to